State Unemployment Rate Takes Normal Jump

Indiana's unemployment rate jumped to 3.4% in January, from 2.9% in December
1999. But that's normal. Nearly every year, unemployment in the state peaks
in January, as Christmas retail jobs get cut back and other seasonal employment
ends. Last year, the rate rose from 2.9% in December 1998 to 3.5% in January
1999.

By March the statewide unemployment rate normally returns to a level closer
to its annual average.

Metro Area Labor Force

Labor force growth rates in Indiana's metropolitan areas varied widely over
the past year. Lafayette's labor force grew fastest, up 2.2% from January
1999 to January 2000 (see Figure 2). Growth in the Elkhart-Goshen metro area
came in at 2.1%. South Bend and Gary each dropped about 2%.

From January 1999 to January 2000, Indiana's statewide labor force remained
nearly unchanged, at about 3.1 million persons. In fact, during 1994 the state's
labor force inched up from 2.9 million to nearly 3.1 million and it has stayed
there, with only minor fluctuations, ever since.

The total U.S. labor force expanded by about 1.1% over the same period,
so four Indiana MSAs beat that average.